Contract learning is particularly suitable for teaching both the content and methodology of history in a college level, learner-centered, individualized format. Typically, a learning contract has three components. The first deals with the student's goals and objectives. The second component involves identification of the learning resources and activities to be used. The third and most important component is specification of the products, processes, and outcomes for evaluation and the criteria to be used in assessing them. Among advantages of the learning contract system are that (1) students are able to devise personally relevant learning experiences, (2) planning and self-reflection involved in contract formation fosters greater student self-awareness, (3) independent study prepares students for lifelong learning, and (4) undergraduates have an opportunity to work individually with faculty members. Disadvantages include the extra time required of faculty and the heavy demand placed on learning resources. Specific uses of learning contracts in history can be found in independent study and directed readings courses, honors courses and seminars, traditional courses which need more structure, and nontraditional and adult student classes. A sample contract which illustrates a combination of interests in history and business administration is provided. (Author/AV)